An internet entrepreneur accused of masterminding one of the largest copyright infringements in history is suing the New Zealand government for $6.8bn in damages — equivalent to 3.5 per cent of the Pacific nation’s GDP — over the destruction of his business.

Kim Dotcom, who is fighting extradition to the US, alleges Wellington unlawfully issued an arrest warrant in 2012 that resulted in him being on bail for six years. This act damaged his reputation, restricted him from leaving New Zealand and left him under the threat of extradition, according to court documents.